Apple: Will it get a screen factory for iPhones soon?

Η Apple, discusses an agreement with Japan Display, to acquire one of its main monitor production plants, according to Nikkei.

Η  Japan Display, which reportedly owes more than $ 800 million to Apple, stopped work at its Hakusan-based plant in July. As the site serves no purpose, the supplier included both the buildings and the plot in the negotiations.

The Nikkei says Apple could acquire all the assets for between $ 730 million and $ 820 million. Apple contributed nearly half of the $ 1,5 billion cost of building the plant.

When the factory opened in late 2016, the mobile phone industry began to move away from LCD screens. Many flagships now come with OLED displays that offer better color accuracy and are more energy efficient.

Some iPhone models, such as last year's iPhone 11 and iPhone XR, still use LCD screens, while the corresponding high-end devices use OLED technology.

Sharp, in turn, has been involved in similar discussions. Foxconn, the parent company of Sharp, manufactures various components used by Apple and other companies in their products. Screen mills are currently operating and Sharp could use the Hakusan site to boost production. The report shows that Sharp and Apple could work together on an agreement.

Should the deal include both Sharp and Apple, Cupertino's company will deepen its involvement in the supply chain. Apple is developing custom chips for iPhone, iPad and Apple Watch, but future plans include MicroLED displays, which will replace the current options.

Discussions between Japan Display and its potential buyers continue and the Nikkei says no deal has been struck. Sharp appears to be the most likely buyer, but does not rule out Apple if it wants to invest further in the supply chain. Next year however, it is almost certain that its factory Japan Display in Hakusan will operate under another ownership status.

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